The top of today's reading list is an article that says house flippers will stop the housing recovery ......... and the last story is is about a school district can make a $22 million loan turn into $154 million of repayment.

School districts pay dearly for bonds (Trey Bundy and Shane Shifflett, San Fransisco Chronicle) Lenders are not gouging. Actually they are only getting about 5% average annual interest. The problem lies in balloon payments with interest payment deferral and 40-year pay-off schedules which makes a $22 million loan eventually cost $154 million. Hat tip to Public Banking.

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